Google Play has introduced new, jurisdiction-specific licensing requirements for publishing cryptocurrency exchanges and software wallets, effective immediately. The policy aims to align app distribution with evolving local laws and industry standards, compelling developers to secure proper licenses in targeted countries or risk removal from those markets.
On 14 August 2025, Google Play updated its Cryptocurrency Exchanges and Software Wallets Policy, mandating that developers targeting specific countries or regions provide proof of regulatory compliance before their apps can be distributed there. While non-custodial wallets remain outside the policy’s scope, custodial exchanges and wallets must now meet precise licensing requirements based on local financial regulations.
Google Play’s announcement signals a decisive step toward harmonizing app store governance with the rapid changes in cryptocurrency regulation worldwide. Developers targeting covered jurisdictions will be prompted to complete location-specific forms under the Financial Features Declaration in the Play Console.
Country-by-Country Licensing Rules
Under the updated policy, apps targeting the listed countries must meet the following conditions:
Middle East & Africa (MEA)
- Bahrain: Must hold a Crypto-Asset Services Licence from the Central Bank of Bahrain.
- United Arab Emirates: Must be licensed by the FSRA, VARA, or DFSA.
- South Africa: Registration with the Financial Sector Conduct Authority (FSCA) required.
- Israel: Licensing by either the Capital Market, Insurance and Savings Authority (CMISA) or the Bank of Israel.
Asia-Pacific
- Hong Kong: Must obtain Type 1 (dealing in securities) and Type 7 (automated trading services) licences from the Securities and Futures Commission (SFC).
- Indonesia: Requires a Crypto Asset Physical Trader Licence from Bappebti.
- Japan: Registration as a crypto asset exchange provider with the Financial Services Agency (FSA).
- Philippines: Must hold a Money Services Business certificate from the BSP.
- South Korea: Must file a VASP report with the Korea Financial Intelligence Unit (KoFIU).
- Thailand: Requires a Digital Asset Business Licence from the Securities and Exchange Commission (SEC).
Europe
- European Union: CASP authorization under the Markets in Crypto-Assets (MiCA) regulation by the relevant national authority.
- France: Until 30 June 2026, DASP registration with the AMF is accepted.
- Germany: Until 30 December 2025, existing national licences (e.g., BaFin crypto custody) are accepted.
Americas
- Canada: Registration with FINTRAC as a Money Services Business.
- United States: Registration with FinCEN as a Money Services Business and state money transmitter licensing, or operation as a chartered bank.
Enforcement and Developer Impact
If developers cannot provide valid licensing documentation for a jurisdiction, Google Play instructs them to remove that country from their app’s distribution list. Failure to comply may result in removal from the store in those markets.
“Due to the rapidly evolving regulatory landscape worldwide, developers are expected to obtain any additional licensure requirements per local laws,” Google stated in its policy update.
For many small and mid-sized crypto businesses, the policy introduces new operational hurdles – from navigating multi-jurisdictional compliance to adjusting their market strategies. Larger exchanges with existing regulatory frameworks will find compliance easier but may still face resource allocation challenges for maintaining multiple licences.
MEA Perspective
The policy’s inclusion of Bahrain, UAE, Israel, and South Africa reflects the MEA region’s growing role in cryptocurrency adoption and regulation. For example:
- The UAE’s VARA has been proactively shaping its digital asset regulatory environment, particularly in Dubai’s free zones.
- Bahrain’s CBB has positioned the country as a regional crypto hub, emphasizing compliance with FATF guidelines.
- South Africa recently brought crypto asset service providers under FSCA oversight, marking a regulatory shift from a previously unregulated environment.
Global Context
This update aligns with broader global regulatory trends:
- The EU’s MiCA is setting a unified licensing framework across 27 member states.
- The U.S. continues to rely on a fragmented state-by-state licensing system, with federal registration obligations.
- Asia-Pacific countries such as Japan and South Korea have long required formal licensing for virtual asset service providers.
The synchronization of app store policies with national regulatory frameworks could set a precedent for other digital distribution platforms, potentially tightening the compliance landscape for crypto services worldwide.
Actionable Takeaways for Developers & Executives
- Audit licensing status in all target markets before publishing or updating crypto apps.
- Prepare documentation for submission in Google Play’s location-specific compliance forms.
- Remove unsupported jurisdictions from your distribution list to avoid enforcement actions.
- Monitor regulatory changes — especially in transitional jurisdictions like France and Germany with upcoming MiCA deadlines.
- Implement ongoing compliance programs to keep pace with licensing renewals and evolving requirements.
- Engage local counsel to navigate jurisdiction-specific application processes.
- Plan market entry strategically, prioritizing jurisdictions with clear and attainable licensing frameworks.
- Integrate compliance into product design to meet both technical and legal obligations.
- Track Google Play policy updates to anticipate future enforcement or expanded coverage.
- Train internal teams on the policy’s implications for publishing and marketing strategies.
Conclusion
Google Play’s enforcement of licence-based distribution for cryptocurrency exchanges and wallets marks a significant regulatory alignment between digital platforms and national laws. While this creates new compliance burdens, it also promises a more secure and transparent environment for users. For the MEA region and beyond, the move underscores that cryptocurrency regulation is no longer optional and operational readiness will define which platforms thrive in the new era.
